TEAC Corp. (6803) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Hirata Corp.

Foster Electric Company, Limited

Doshisha Co., Ltd.

TEAC Corp.

Yokowo Co. Ltd.

Powdertech Co., Ltd.

Airtech Japan, Ltd.

JANOME Corp.

Ikegami Tsushinki Co., Ltd.

YA-MAN Ltd.

Twinbird Corp.

Why is TEAC Corp. ?

NET PROFIT(HY) At JPY 148 MM has Grown at 157.14%
OPERATING CASH FLOW(Y) Highest at JPY 1,490 MM
ROCE(HY) Highest at 6.38%

With ROCE of 6.67%, it has a attractive valuation with a 0.83 Enterprise value to Capital Employed

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 22.78%, its profits have risen by 252.8% ; the PEG ratio of the company is 0.1

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to TEAC Corp. should be less than 10%
Overall Portfolio exposure to Electronics & Appliances should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is TEAC Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

TEAC Corp.

22.78%

0.09

48.40%

Japan Nikkei 225

28.54%

1.11

25.75%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

1.22%

EBIT Growth (5y)

9.08%

EBIT to Interest (avg)

1.86

Debt to EBITDA (avg)

2.37

Net Debt to Equity (avg)

0.61

Sales to Capital Employed (avg)

2.13

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

35.56%

Pledged Shares

Institutional Holding

ROCE (avg)

9.55%

ROE (avg)

7.36%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.73

EV to EBIT

12.50

EV to EBITDA

5.46

EV to Capital Employed

0.83

EV to Sales

0.31

PEG Ratio

0.13

Dividend Yield

ROCE (Latest)

6.67%

ROE (Latest)

2.28%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

No Trend

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

18What is working for the Company

NET PROFIT(HY)

At JPY 148 MM has Grown at 157.14%

OPERATING CASH FLOW(Y)

Highest at JPY 1,490 MM

ROCE(HY)

Highest at 6.38%

CASH AND EQV(HY)

Highest at JPY 3,406 MM

DEBT-EQUITY RATIO (HY)

Lowest at 77.59 %

INVENTORY TURNOVER RATIO(HY)

Highest at 1.94%

DEBTORS TURNOVER RATIO(HY)

Highest at 6.54%

-4What is not working for the Company

INTEREST(Q)

At JPY 47 MM has Grown at 80.77%

OPERATING PROFIT(Q)

Lowest at JPY -169 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -5.36 %

Here's what is working for TEAC Corp.

Net Profit

At JPY 148 MM has Grown at 157.14%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (JPY MM)

Net Profit

Higher at JPY 148 MM

than preceding 12 month period ended Jun 2025

MOJO Watch

In the half year the company has already crossed Net Profit of the previous twelve months

Net Profit (JPY MM)

Operating Cash Flow

Highest at JPY 1,490 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (JPY MM)

Cash and Eqv

Highest at JPY 3,406 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 77.59 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 1.94%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 6.54%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Here's what is not working for TEAC Corp.

Interest

At JPY 47 MM has Grown at 80.77%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (JPY MM)

Operating Profit

Lowest at JPY -169 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (JPY MM)

Operating Profit Margin

Lowest at -5.36 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales